What Is the First Step in Classifying Costs According to Behaviour

question 52

Multiple Choice

What is the first step in classifying costs according to behaviour?

• A)identify the resources needed and the output of the activity
• B)measure the outputs and inputs
• C)determine the time horizon
• D)determine the impact of output changes on the activity cost

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Definitions:

Labor Productivity

The output per worker, assessing how efficiently labor is utilized in production.

Technology Quality

Technology quality refers to the degree of excellence, reliability, and performance of technological products or systems.

Capital Quality

The degree of excellence of physical and intellectual assets used in the production of goods or services, affecting overall productivity and efficiency.

Simon Kuznets

An economist known for his work on economic growth and for formulating the concept of Gross Domestic Product (GDP) as a measure of national income.